Excellent! Another oldie! My first Subie was/is a '90 Legacy wagon. I have never modded it though, as it's too old and used up now. Soon it will be leaving, I think, for smog reasons.
Yeah, yours is definitely AWD. I don't think any of the Legacies had 4WD, as much as that's what I'd want.
Scott hit the headlight thing on the nose.
There was some compatibilty between the Impreza and the 1st Gen Legacy in regards to suspension, I think, so hopefully some folks with the knowledge here will be able to tell you.
If I remember right, there was a large community of people on the internet into modding the Turbo 1st Gen Legacies. Suspension and body stuff would all be the same, probably. Been here yet?
http://www.legacycentral.org/
Looking forward to seeing what you do to it!